ITU-T Recommendation L.1420 Practical use within Alcatel Lucent

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1 ETSI Workshop on Energy Efficiency Genoa (Italy) June 2012 ITU-T Recommendation L.1420 Practical use within Alcatel Lucent Gilbert Buty (Alcatel Lucent)

2 Scope The assessment of the environmental impact of an ICT organization. An ICT organization is an organization, the core activity of which is directly related to the design, production, promotion, sales or maintenance of ICT goods, networks or services. The assessment of the life cycle environmental impact of ICT Goods, Networks and Services used by an non-ict organization. Other organizations Not treated here The interpretation of these impacts and their fair and transparent reporting Documentation is required This Recommendation does not address GHG removals or rebound effects GHG removals for ICTs is not the highest priority Rebound effects are still under study

3 Scope The Recommendation covers the 3 scopes: Scope 1 (Direct emissions): Activities owned or controlled by your organization that release emissions straight into the atmosphere. Examples of scope 1 emissions include emissions from combustion in owned or controlled boilers, furnaces, vehicles. Scope 2 (Energy indirect): Emissions being released into the atmosphere associated with your consumption of purchased electricity, heat, steam and cooling. These are indirect emissions that are a consequence of your organization's activities but which occur at sources you do not own or control. Scope 3 (Other indirect): Emissions that are a consequence of your actions, which occur at sources which you do not own or control and which are not classed as scope 2 emissions. Examples of scope 3 emissions are business travel by means not owned or controlled by your organization, waste disposal, or purchased materials or fuels. Assessment and reporting for scope 1 and scope 2 emissions are mandatory. Assessment and reporting for scope 3 emissions are optional.

4 ICT GHG and LCA Standards Initiatives ISO & Environmental management -- Life cycle assessment Principles and framework / Requirements and guidelines Generic ISO 14064, 14067, Measurement & reporting; carbon footprint of products & organizations WRI / GHG Protocol Product Standard PAS 2050 British Standard GeSI ICT Enabling Methodology ICT Specific ITU-T ICT Standard L1420,30,40,50 Organizations, Projects, Cities, Countries GHG Protocol - ICT Guidance Supplement Hardware, Software, Data Centers, Network Services, Desktop Services, Transport Substitution ITU-T ICT Standard L1400,1410 Goods, Networks, Services ETSI TS Standard - LCA of ICT IEC TR62725 & GHG of EE MIT PAIA Product Attribute Assessment inemi Eco-impact Estimator LEGEND In development Issued Organization Service Product Component Material

5 Recommendation L.1420 for ICT organizations Evaluation of energy consumption and GHG impact Setting the Organizational boundary Setting the Operational boundary Selection of quantification methodology Annual assessment/establishment of a base year Recalculation of energy and GHG inventory (restatements) Uncertainties Reporting

6 Setting the Organizational boundary The organizational boundaries should include all operations and subsidiaries used by the organization according to the consolidation approach The equity share approach under which a company accounts for GHG emissions from operations according to its interest in the operation. The control approach under which a company accounts for 100% of the GHG emissions from operations over which it has control. Control can be defined in either operational or financial terms. The operational control approach a company has operational control over an operation if the company or one of its subsidiaries has the full authority to introduce and implement its operating policies at the operation. The financial control approach a company has financial control over an operation if the company has the ability to direct the financial and operating policies of the operation with a view to gaining economic benefits from its activities. The Recommendation does not mandate any particular approach but the chosen approach shall be the only applied approach. Alcatel Lucent : Operational Control Approach

7 Setting the Operational boundary Establishing operational boundaries involves identifying GHG emissions and energy consumption associated with the organization s activities Categorizing them as direct or indirect Assigning the appropriate scope for accounting and reporting Not always an easy task!! Alcatel Lucent : world-wide Scope 1, Scope 2 and Scope 3 activities

8 Selection of quantification methodology Selection or development of GHG emission factors Calculation of GHG emissions as under GWP factors for GHG taken from IPCC Time frame of 100 years

9 Emission factors According to Recommendation L.1420, the organization shall select or develop emission factors that : are derived from a recognized origin, are appropriate for the GHG source concerned, are valid at the time of quantification, take into account the quantification uncertainty and are calculated in a manner intended to yield accurate and reproducible results, and are consistent with the intended use of the GHG inventory. Except for GWP factors, no strict recommendations are made A lot of emission factors databases exist National : ADEME, DEFRA, US EPA International : IEA (International Energy Agency) May be a need for improvement, since companies will choose their own emission factors sources, making comparisons relatively difficult and result consistency challengeable

10 Emission factors Alcatel Lucent Emission Factors employed within the GHG Inventory Management System are: USEPA Climate Leaders Greenhouse Gas Inventory Protocol Core Module Guidance Electricity Emission Factors were obtained from the following sources: United States Source - egrid EMISSION FACTORS Canada: CO2e factors from Canada's "National Inventory Report Australia: Australian Greenhouse Office Factors and Methods Workbook UK: 2009 Guidelines to Defra/DECC's GHG Conversion Factors for Company Reporting International Sources (unless noted otherwise): CO2: International Energy Agency, "CO2 Emissions from Fuel Combustion CH4/N2O: International Electricity Emission Factors by Country International Energy Agency Intergovernmental Panel on Climate Change (IPCC) Alcatel Lucent annually verifies that references and emission factors are kept current When updated emissions rates become available, the inventory is subsequently be updated to reflect the correct emission rates for each year.

11 Data Collection Identify the relevant GHG activity data required. Extract the data which is further required for GHG emission quantification. Facility usage rates of electricity, fossil fuels, purchased steam and chilled water are obtained from invoices supplied by the service provider. Mobile fleet usage is tracked via the corporate fueling card account program Business travels are tracked by the corporate travel agency Employee personnel vehicle usage during business travel is tracked via corporate reimbursement activities Put in place a data collection quality assurance! Define a document retention and control policy What do you do with data in electronic form? Disclosure policy to be set up Alcatel Lucent : Ok + authorized contributor inputs applicable data into a web-based tool

12 Annual assessment / Base year Assessments shall be carried out on an annual basis with the date of publication of the ITU-T Recommendation L.1420 as a reference. However, a different base year could be chosen when: The organization estimates that the quantity and/or quality of available verifiable data for this particular different year would guarantee a more accurate evaluation of its GHG emissions and energy consumption. The organization has already put in place an assessment and reporting process based on a different base year, compliant with this Recommendation. The activities carried out by the organization generate unusual fluctuations of GHG emissions and/or energy consumption in such a way that the base year might not be significant. Any choice of a different base year shall be documented Alcatel Lucent : Base Year 2008

13 Recalculation of energy and GHG inventory Applies under 2 circumstances: Structural changes which include mergers, acquisitions and divestments and/or outsourcing or in-sourcing of GHG emitting activities. Discovery of significant errors contained within the base year emission calculations which can necessitate a change in the emissions inventory. L.1420 makes no recommendations as to what constitutes a significant change and thus the need to adjust base year emissions Alcatel Lucent : Significance Threshold = 5% change in total GHG emissions that would result if a correction was not made.

14 Uncertainties An uncertainty assessment for GHG emissions and energy consumption shall be performed in accordance with ISO clause 5.4 to the extent needed to understand the inventory results. It is part of a broader learning and quality process There are several type of uncertainties associated with GHG inventories (scientific, estimation, parameter, model, statistical, systematic). Analyzing and quantifying some uncertainty aspects are extremely difficult and likely beyond the scope of most organization s inventory efforts At present, there is no precise guidance on how to address all uncertainty related issues Alcatel Lucent : Estimating level of errors in calculating usage rates and CO2e and evaluating the cumulative effects on the final result

15 Reporting The energy and GHG report content should contain: A description of the reporting organization and the person responsible the reporting period or periods covered Documentation of organizational boundaries and operational boundaries The principles for collection of energy data, GHG activity data and emission factors A description of the quantification methodologies used within the framework of the study The results of the uncertainty assessment for GHG emissions and energy consumption performed according to ISO The results of energy consumption assessment and GHG emissions assessment Any recalculations including corrections of the corresponding clauses of the previous report(s). A statement that the energy report and the GHG inventory report has been prepared in accordance with the principles outlined in the Recommendation. Alcatel Lucent : provides a report in line with the ITU-T L.1420 and training sessions are conducted annually

16 Conclusions The ITU-T Recommendation L.1420 is the unique standard (e.g. provided by an official SDO) in this domain. Nothing incredibly original looks a lot like the GHG Protocol First feedbacks show that L.1420 is easily applicable Alcatel Lucent sees this Recommendation as a good document for starting its GHG assessment or improving the existing processes New possible areas of standardizations Mandatory Assessment and Reporting of Scope 3 Activities Sources of emission factors Eco-labeling Join the ITU Energy Saving Fan Club!!

17 Thanks for your attention